TATNEFT’s Board of Directors Summed Up Operation Results for the First Quarter of 2019
A regular meeting of the Board of Directors of PJSC TATNEFT chaired by R.N. Minnikhanov, President of the Republic of Tatarstan, was held in Kazan on May 22, 2019
The Board meeting reviewed the results of the Company’s budget implementation for the four months of 2019 and approved the budget for June, discussed the results of the Company’s financial and economic activities for the first quarter of the current year.
7 million 252 thousand tonnes of crude oil were produced at the fields of TATNEFT for the first three months of the current year. 130 new production and 88 injection wells were put into operation.
Compared to the same period in 2018, gross revenues from the sale of products shipped increased by RUB 44.2 billion and amounted to RUB 240.6 billion. Net revenues (excluding VAT, export duties and excise tax) from the sale of products shipped increased by RUB 39.1 billion and amounted to RUB 205.1 billion. The net profit increased by RUB 13 billion and amounted to RUB 50.3 billion (RAS data).
The Board of Directors discussed the information on the application of enhanced oil recovery methods. It was emphasized that application the EOR technologies accounted for more than 20% of the Company’s crude oil production. In accordance with the “Strategy 2030”, which provides for the growth of the crude oil production to 38 million tonnes per year, the share of the crude oil production through the application of EOR will account for about one third of the total volume recovered. The main promising areas of high-tech developments were identified, such as in-situ combustion, surfactant-polymer flooding, microbiological methods application, two-component systems, injection of modified water and others for which research had been initiated for the formation of the future pool of technologies aimed at improving the development of hard-to-recover reserves. At present, there were 11 technologies accepted for replication with pilot works already carried out on 34 technologies, and the plans providing for starting the performance of pilot operations with application of 12 technologies.
The information of the stock market analysts estimate about the investment attractiveness of TATNEFT shares in comparison with other leading companies in the industry was presented to the members of the Board of Directors, who also discussed the main issues that are of interest to the Company’s investors.
Forward-looking statements: This press release and contains certain statements about future events and expectations that are forward-looking in nature. Any statement in this press release that is not a statement of historical fact is a forward-looking statement that involves known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements expressed or implied by such forward-looking statements to differ. PJSC TATNEFT shall assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.
